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Frequently Asked Questions about Business Litigation
Q: What is involved when litigating a business issue?
A: This depends on the issue. The business owner would follow the same process for business litigation as he or she would for any civil lawsuit, including usually obtaining an attorney, pretrial matters such as motions, possible settlement negotiations, trial, and possibly appeal.
Q: What are some alternatives to litigation?
A: Businesses often use Alternative Dispute Resolution (ADR) methods. The ADR process usually utilizes arbitration or mediation. These alternatives are attractive because they are often less expensive and more efficient than traditional litigation.
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In the past 21 years of practice, the law firm of Erik B. Jensen, P.C., has gained extensive knowledge and experience in the many legal issues that confront businesses, from the type of business formation and organization to the critical needs of business maintenance and litigation. Our business law attorneys can assist any business or start-up business in the Philadelphia, PA area and southern New Jersey with matters ranging from incorporation, tax planning, and intellectual property, to landlord/tenant disputes, buying a business and/or business assets, and much more.
It is important for our clients to have a firm grasp of the specifics of business law. The following is intended to give you a general overview of business law and good business practices. Contact us to discuss your unique situation.
If you have questions, contact our firm and set up a consultation with one of our attorneys. We serve the Philadelphia, PA area, including Drexel Hill, Chester, Springfield, Bucks County, Montgomery County, Delaware County, Chester County, Philadelphia County, and surrounding areas, as well as Bellmawr, Camden, Cherry Hill, Camden County, Salem County, Gloucester County, Burlington County, and surrounding areas throughout southern New Jersey.
Business Litigation - An Overview
When considering litigation, a business owner should be aware of his or her options. In addition to the courtroom, there are other forums that might be appropriate, depending on the specific needs of the business. Alternative dispute resolution (ADR), described below, may be a desirable alternative to litigation or, if the cause of action is of an eligible size, small-claims court may be another venue for an owner to consider. Class actions may also be utilized by a business in certain circumstances. Additionally, business owners must understand the basic features of class actions, in the event that they are named as defendants.
A business contemplating bringing or defending a lawsuit would be well served by consulting with a seasoned trial attorney to better understand all of the legal options.
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Courtroom Procedure
In the event your business becomes involved in litigation, knowledge of courtroom procedure is essential. Courtroom procedure can be complicated, and knowing what to expect can enable a business to prepare effectively. In addition, state and federal law govern procedural issues; depending on the jurisdiction and the specific court involved, there may be notable procedural differences. If you are faced with litigation involving a business transaction or any aspect of your business, a lawyer can provide additional assistance and counsel regarding your jurisdiction, court, and possible legal options for your situation. A business lawyer is an excellent resource for information regarding litigation and courtroom procedure.
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Business Litigation - Appeals
An appeal is an official request for a higher court to review a trial court decision based on alleged error of procedure or alleged error in application of the law. In civil cases, including business litigation, this may occur immediately following a decision on a motion or at the end of a trial. The ability to appeal and the timing of an appeal depends on the court rules and laws of the relevant jurisdiction. In the realm of business litigation, the appeals court scrutinizes the lower court decision to determine whether to uphold, reverse, or modify it. If you have questions about business litigation, it may be advantageous to consult with a business trial attorney.
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Class Actions
Class action lawsuits are brought by named plaintiffs, usually one or two, whose alleged injuries are the same as those of a large number of other parties. The plaintiffs do not have to be individuals; businesses may also be class plaintiffs. The purpose of a class action is to combine many similar causes of action. The cause of the common injury could be from any number of sources, such as from violations of federal regulations, product defects, securities fraud, or environmental issues. When multiple plaintiffs with similar claims are involved, litigating each case individually would be expensive and time consuming. A class action suit allows for a combined effort, potentially saving litigation costs and time spent in preparation for and in court.
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Alternative Dispute Resolution
In some instances, a business may want to avoid a complicated and expensive courtroom battle by using instead an alternative dispute resolution (ADR) method. ADR is a way to resolve legal issues without going to court. The two most frequently used forms of ADR, described below, are arbitration and mediation.
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Business Litigation Resource Links
Cornell University School of Law
This site provides general information about the judicial process, courtroom procedures, and various legal topics.
National Mediation Board
This government site provides public information on the topic of alternative dispute resolution (ADR), particularly focusing on mediation. Although the site is specific to federal law, it is a good general source of ADR information.
Official United States Government Website
This is a good resource for official federal government information. There are links to the federal and state court systems.
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